Get exclusive money‑saving offers and guides

How to buy, sell and trade Steem (STEEM)

22 August 2018

Your guide to STEEM tokens, how they work and how to buy them in Australia.

STEEM is the base token of Steemit, a blockchain-based social media platform that allows publishers and creators to monetise their content. This digital currency is used to reward writers when their content gets upvoted and to reward those users who participate in the platform and upvote other people’s content.

To find out more about the STEEM token, including how to buy and sell it, check out this handy guide. We’ll also cover how the Steemit platform works as well as the things you should consider before buying any STEEM.

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific
provider, service or offering. It is not a recommendation to trade.

Where to buy STEEM

You can buy STEEM tokens on several exchanges, using cryptocurrencies such as bitcoin (BTC) or Ether (ETH). You can also buy STEEM using fiat currency such as Australian dollars or directly from your Steemit.com account.

Compare up to 4 providers

A step-by-step guide to buying STEEM

If you want to buy STEEM tokens, here’s an example of how to do it.

Step 1. Create an account at an exchange that offers STEEM

Compare the exchanges that list STEEM and create an account at the one that best suits your needs. For example, Australian-based exchange CoinSpot allows you to buy STEEM with Australian dollars (AUD), but you’ll first need to register and provide your personal details and proof of ID to verify your account.

We also recommend that you enable two-factor authentication on your account to provide extra protection for your funds.

Step 2. Deposit funds into your account

Most crypto exchanges only accept cryptocurrency deposits. As BTC is one of the most popular cryptocurrencies and is a common pairing for other coins or tokens, you can use BTC to buy less common cryptocurrencies such as STEEM. If you don't have BTC, you can follow our guide on how to purchase it.

Once you have acquired BTC, log in to your account and look for a button that says “Balance”, “Funds” or “Deposits”. You can then copy the wallet address and transfer the necessary funds.

Some exchanges, such as CoinSpot, allow you to deposit fiat currencies. If you are using CoinSpot, once you’ve logged into your account, click the “Deposit AUD” button from your account dashboard and select the amount of AUD you wish to deposit.

Step 3. Buying STEEM

Click through to the “Exchange” or “Markets” section of your trading platform and search for the STEEM currency pairing you want to trade. Click on “Buy STEEM” and enter the number of STEEM tokens you wish to purchase.

For example, if you’re using CoinSpot, click on the “Buy/Sell” button and type “STEEM” in the search tab. You can then buy STEEM by either entering the number of tokens you want to buy or by entering the amount of AUD you are willing to spend. Review the full details of the transaction, including the fee that applies, before clicking “Buy”.

How to sell STEEM

You can sell STEEM tokens by following a similar process to the one outlined above. After navigating to the platform’s “Markets” or “Exchange” section, search for your desired currency pair, click on “Sell” and then enter your transaction details. However, remember that exchanges don’t list every possible currency pairing, so it may not be possible to directly exchange STEEM for the currency you want.

Which wallets can I use to hold STEEM?

You can use three types of wallets to store your STEEM tokens:

Web-based STEEM wallet. Steemit.com is the direct link to the Steem blockchain, and you can use it to store your STEEM tokens. The Steemit.com wallet has a recovery feature designed to offer a layer of protection in case your account has been compromised.

Desktop wallets. Steem’s original wallet is a Command Line Interface (CLI) wallet, designed for technical users. Another STEEM desktop wallet is Vessel.

Mobile wallets. Freewallet and eSteem are two STEEM wallets available for mobile devices.

How does STEEM work?

Founded in 2016 by Ned Scott and BitShares creator Dan Larimer, the Steem blockchain is described as a “rewards platform for publishers to monetise content and grow community.”

The Steem blockchain powers native digital assets known as Smart Media Tokens (SMTs), which are the network’s native digital assets. Designed for digital content businesses, SMTs can be used to help monetise online content and create incentives for users to behave appropriately. They feature a rewards algorithm that encourages platform users to create and curate content, with tokens distributed according to upvotes and likes.

Steemit runs on the Steem blockchain and was developed with the aim of creating a social content platform similar in many ways to Reddit, but using blockchain. It allows users to create and share content, and other users rate this content by liking and upvoting. Based on the likes and upvotes a piece of content receives, the network will reward the content creator with Steem Power and Steem Dollars.

The Steemit platform has three types of tokens:

Steem (STEEM). This is the base currency of the platform and can be bought and sold on the open market. New STEEM units are developed by the Steemit platform every day and automatically distributed to content creators and platform participants.

Steem Dollars (SBD). This currency is pegged to the US dollar and when a user creates popular content, they can choose to receive 50% of their payment in Steem Dollars.

Steem Power. Steem Power is STEEM tokens that have been vested, which means they can’t be sold for 13 weeks. Holding Steem Power entitles you to a proportionate ownership in the network, and the more Steem Power a user has, the more influence they have over the value of the content upvoted or created.

What to consider before buying STEEM

Cryptocurrencies are highly volatile and speculative, and you should understand the risks involved in purchasing them before you buy. Consider the following factors if you’re thinking of buying STEEM tokens:

Supply. According to CoinMarketCap, the circulating supply of STEEM tokens at the time of writing (11 April 2018) was 256,157,558 out of a total supply of 273,131,652. Starting from December 2016, Steem began creating new tokens at an inflation rate of 9.5% for the first year. For every consecutive year, the inflation rate will drop by 0.5% until it reaches 0.95% inflation.

STEEM use. You can use STEEM tokens to increase your curating power within the Steemit.com network or trade it with other cryptocurrencies at an exchange.

Powering up. You can increase your Steem Power with STEEM tokens by powering up. While the user is powered up, the STEEM tokens are locked. Once a user decides to redeem their STEEM tokens, they need to power down and their tokens will be unlocked in a period of three months.

Availability. STEEM tokens are available on a handful of exchanges. However, it’s worth staying up to date with any news of additional exchanges listing the token as this could increase ease of access and therefore potentially cause a growth in demand.

Market competition. It’s also worth considering whether there are any similar projects in competition with Steem that could affect demand for the STEEM token. Projects to watch include Akasha, Synereo, LBRY and YOYOW.

By considering these and other factors, you’ll be able to form a clearer picture about whether you should buy any STEEM.

Frequently asked questions

Changelly and Indacoin are exchanges listing STEEM which support credit card payments. However note that due to regulatory concerns regarding cryptocurrency, certain banks may refuse to facilitate cryptocurrency-related transactions.

You can buy STEEM tokens at CoinSpot, which accepts AUD deposits. Alternatively, you can sign up for an account at Steemit.com and click on “Buy STEEM” from the menu.

STEEM is the base token of the Steem blockchain and was designed to increase curating power on Steemit.com. Steem Dollar is the currency that curators receive from the network as a reward. By considering these and other factors, you’ll be able to form a clearer picture about whether you should buy any STEEM.

Disclaimer: Cryptocurrencies are speculative, complex and involve significant risks – they are highly
volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of
future performance. Consider your own circumstances, and obtain your own advice, before relying on this information.
You should also verify the nature of any product or service (including its legal status and relevant regulatory
requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may
have holdings in the cryptocurrencies discussed.

Disclaimer - Hive Empire Pty Ltd (trading as finder.com.au, ABN: 18 118 785 121) provides factual information, general advice and services on financial products as a Corporate Authorised Representative (432664) of Advice Evolution Pty Ltd AFSL 342880. Please refer to our FSG - Financial Products. We also provide general advice on credit products under our own Credit Licence ACL 385509. Please refer to our Credit Guide for more information. We can also provide you with general advice and factual information on about a range of other products, services and providers. We are also a Corporate Authorised Representative of Countrywide Tolstrup Financial Services Group Pty Ltd. ABN 51 586 953 292 AFSL 244436 for the provision of general insurance products. Please refer to our FSG - General Insurance. We hope that the information and general advice we can provide will help you make a more informed decision. We are not owned by any Bank or Insurer and we are not a product issuer or a credit provider. Although we cover a wide range of products, providers and services we don't cover every product, provider or service available in the market so there may be other options available to you. We also don't recommend specific products, services or providers. If you decide to apply for a product or service through our website you will be dealing directly with the provider of that product or service and not with us. We endeavour to ensure that the information on this site is current and accurate but you should confirm any information with the product or service provider and read the information they can provide. If you are unsure you should get independent advice before you apply for any product or commit to any plan. (c) 2018.

Thank you for your feedback.

Our goal is to create the best possible product, and your thoughts, ideas and suggestions play a major role in helping us identify opportunities to improve.

Important information about this website

finder.com.au is one of Australia's leading comparison websites. We compare from a wide set of major banks, insurers and product issuers.

finder.com.au has access to track details from the product issuers listed on our sites. Although we provide information on the products offered by a wide range of issuers, we don't cover every available product. You should consider whether the products featured on our site are appropriate for your needs and seek independent advice if you have any questions.

Products marked as 'Promoted' or "Advertisement" are prominently displayed either as a result of a commercial advertising arrangement or to highlight a particular product, provider or feature. Finder may receive remuneration from the Provider if you click on the related link, purchase or enquire about the product. Finder's decision to show a 'promoted' product is neither a recommendation that the product is appropriate for you nor an indication that the product is the best in its category. We encourage you to use the tools and information we provide to compare your options and find the best option for you.

The identification of a group of products, as 'Top' or 'Best' is a reflection of user preferences based on current website data. On a regular basis, analytics drive the creation of a list of popular products. Where these products are grouped, they appear in no particular order.

Where our site links to particular products or displays 'Go to site' buttons, we may receive a commission, referral fee or payment.

We try to take an open and transparent approach and provide a broad based comparison service. However, you should be aware that while we are an independently owned service, our comparison service does not include all providers or all products available in the market.

Some product issuers may provide products or offer services through multiple brands, associated companies or different labelling arrangements. This can make it difficult for consumers to compare alternatives or identify the companies behind the products. However, we aim to provide information to enable consumers to understand these issues.

Providing or obtaining an estimated insurance quote through us does not guarantee you can get the insurance. Acceptance by insurance companies is based on things like occupation, health and lifestyle. By providing you with the ability to apply for a credit card or loan we are not guaranteeing that your application will be approved. Your application for credit products is subject to the Provider's terms and conditions as well as their application and lending criteria.

Please read our website terms of use for more information about our services and our approach to privacy.